Median rent is 2% lower in Chicago ($1,380/mo vs $1,403/mo). Buying is cheaper in Dallas, where the median home runs $295,300 versus $315,200. Households earn more in Chicago ($75,134 vs $67,760 a year). Taken together, Dallas is the more affordable choice with a cost index of 103.4 against 105.7 — about 2% lower overall prices. After adjusting income for local prices, a typical paycheck stretches further in Chicago, IL.
Quick verdict
Dallas is 2% cheaper overall
Cost index: 103.4 in Dallas vs 105.7 in Chicago (US average = 100)
City A
Chicago, IL
City B
Dallas, TX
How much would you need to earn in Dallas, TX to maintain your standard of living from Chicago, IL?
Equivalent salary in Dallas, TX
$73,372
You could earn $1,628 less (2% lower) and break even.
Based on BEA Regional Price Parity (cost index) for each city's metro area. A rough estimate of overall purchasing power, not tax or take-home pay.
Metric
Chicago
Illinois
Dallas
Texas
👥Population
💰Median Household Income
Annual
🏠Median Gross Rent
Per month
🏡Median Home Value
📊Cost of Living Index
US avg = 100
🔑1BR Fair Market Rent
HUD FMR
🔑2BR Fair Market Rent
HUD FMR
🔑3BR Fair Market Rent
HUD FMR
🌬️Air Quality Index
Lower = cleaner
🏛️Top State Income Tax
Top marginal rate
🧾State Sales Tax
Statewide base rate
🎂Median Age
Years
✓ = better value · Sources: US Census ACS, BEA RPP, HUD FMR, EPA AirNow, Tax Foundation
Median rents are similar in both cities: $1,380/mo in Chicago and $1,403/mo in Dallas. Median home values are within 6% of each other: $315,200 in Chicago and $295,300 in Dallas.
1BR Fair Market Rent
2BR Fair Market Rent
BLS OEWS 2023 — metro-level data
Texas has no state income tax, while Illinois tops out at 4.95% — giving Dallas a clear advantage for high earners. Sales tax is 6.25% in Illinois and 6.25% in Texas; Dallas has the lower rate (local add-ons may apply in both).
Chicago
Income tax: 4.95%
Sales tax: 6.25%
Dallas
Income tax: None
Sales tax: 6.25%
Chicago has cleaner air on average: 21.0 AQI (Good) compared to 44.0 AQI (Good) in the other city. Lower AQI means cleaner, healthier air.
Pick Chicago if you prioritize higher median household income ($75,134/yr).
Pick Chicago if you prioritize cleaner air quality (avg AQI 21.0).
Pick Dallas if you prioritize no state income tax.
Is Chicago cheaper than Dallas?
Dallas is cheaper overall, with a cost of living index of 103.4 versus 105.7 (US average = 100). That means prices run about 2% lower in Dallas.
How much is rent in Chicago vs Dallas?
Median rent is $1,380/mo in Chicago, IL and $1,403/mo in Dallas, TX. Chicago, IL has the lower rent by about 2%.
Which has higher salaries — Chicago or Dallas?
Median household income is $75,134 in Chicago, IL and $67,760 in Dallas, TX. Chicago, IL has the higher median income. Note that BLS occupational wages in the table above show wages for specific jobs.
Which city has better air quality?
Chicago, IL has better air quality on average: 21.0 AQI versus 44.0 AQI. Both are EPA AirNow annual averages; lower is better.
Which has lower taxes — Chicago or Dallas?
Texas has no state income tax. Illinois has a top rate of 4.95%.
What salary do I need in Dallas to match my Chicago income?
To maintain the same purchasing power, a salary of $100,000 in Chicago, IL is equivalent to roughly $97,830 in Dallas, TX (using the BEA Regional Price Parity ratio). Use the salary calculator above for any income amount.
Data last updated: December 1, 2024 · Sources: US Census ACS, BEA RPP, BLS OEWS, HUD FMR, EPA AirNow, Tax Foundation · Methodology